Question: Three production processes - A, B, and C - have the following cost structure: the selling price is 5.07per unit Process Fixed Cost per Year

Three production processes - A, B, and C - have the following cost structure:

the selling price is 5.07per unit

Process

Fixed Cost

per Year

Variable Cost

per Unit

A

144665

3.35

B

88002

3.45

C

81014

3.61

a.What is the cost of process A for a volume of 8658units? (round to the nearest cent).

b. What is the cost of process B for a volume of 8658 units?(round to the nearest cent)

c.What is the cost of process C for a volume of 8658 units?(round to the nearest cent).

d.How many units per year must be sold with process B to have annual pre-taxprofits of 46803if the selling price is 5.07per unit?(Round to the nearest integer).

e.How many units per year must be sold with process C to have annual pre-taxprofits of 46803 if the selling price is 5.07 per unit?(Round to the nearest integer).

f.Considering the pre-tax profits per period , what is the break-even volume for process A?(Round to the nearest integer).

g.Considering the pre-tax profits per period , What is the break-even volume for process B?(Round to the nearest integer).

h.Considering the pre-tax profits per period , What is the break-even volume for process C?(Round to the nearest integer).

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